Warren Buffet mentioned along the lines, that in order to be the great investment story the business behind it should be really boring. Canada Zinc Metals with its Zinc deposit in Canada will pass this test at the first glance. What can be duller than Zinc in times of Twitter, Tesla and iPads? In order to get our idea you need to have a look at three things here: chart above with exponential growth in Car sales in China, Chart below with Zinc priced for a Double Dip and CZX.v corporate structure. Chinese Tongling holds now close to 20% in the company. Latest placement was with another Chinese investor at 0.6CAD with premium to the market of more than 30% (CZX.v now is at 0.45CAD). This investor controls now more than 10% of Canada Zinc Metals according to filing. With good odds for deposit to be expanding and blue sky potential of the new discoveries we think that the company is very close to more aggressive move by Tongling in order to secure the potential of this region play in Canada. For us it will be very interesting to see the destiny of investment stake by CZX.v in TNR Gold in this case, when Togling will become a partner with strategic opportunities in Lithium and REE investment and can be potentially involved in huge Argentinian Copper play at Los Azules."

"Another one of our Summer 2010 top picks is priming itself for public recognition. Canada Zinc Metals has secured strategic partnership with Chinese Tongling and drills are turning on the property promising news on potential blue sky discoveries and extension of the mineralized zone at the Cardiac Creek. At the moment of writing stock of CZX.v could be bought at 37% discount to the price Chinese are willing to pay for the latest stake in this company. Company is buying back its own shares as well now."

And now it looks like we are going to get our extension of mineralized zone at Cardiac Creek with some potential blue sky discoveries during this drill program. We will not run ahead of share price here - we do not know the grades of the intersections, but results are already interesting to follow the story further. We hope that the new IR firm will translate it in German properly and those guys know where the business is this days. Just look at Germany export numbers - they must be praying every morning for China. They are buying spare parts from China and selling back assembled machinery, precision tools and Mercedes with BMW. The only things which are missing in this ideal cooperation are the raw materials to produce those parts from. Here where companies like Canada Zinc Metals are coming into the picture. Hopefully Germans will get the story and why Chinese Tongling is now holding more then 30% of this company. Translation will take some time and our Summer Xmas sale is still going on in this play even just before the Labour Day.

Among the other developments today we have mentioned that Lundin Mining has increased its loan facility and the maturity of the loan - will Lukas Lundin go shopping one day to increase his resource base for the next leg up in this commodity bull? He still maintains stake in Canada Zinc Metals along with all Chinese participants - should someone decide to chase this dragon - story could become very interesting.

Canada Zinc Metals Corp. has provided an update on the 2010 diamond drill program currently under way on its Cardiac Creek Sedex zinc-lead-silver deposit. The deposit, which is on the company's 100-per-cent-owned Akie property, is located approximately 260 kilometres north-northwest of the town of Mackenzie in northeastern British Columbia.

2010 Akie property drill program

Objectives of the 2010 drilling program include testing the prospective Gunsteel formation shales for the continuation of the Cardiac Creek deposit in the NW Extension and to further explore the potential of the North Lead anomaly (see below) located two km northwest along strike of the deposit.

To date, eight diamond drill holes (3,871.39 metres) of a planned 10-hole 5,000-metre program have been completed. Of these, four holes (1,464 m) tested the NW Extension target while a further three holes (1,762.12 metres) continued to test the highly prospective North Lead anomaly. All drill holes have intersected mineralized shales of the Gunsteel formation, the primary host of the Cardiac Creek deposit. The sulphide mineralization occurs at the same stratigraphic horizon as the deposit.

A single drill hole (645.27 metres) tested a priority target along the northwest edge of the Cardiac Creek deposit encountering 26 metres of sulphide mineralization. Currently, both drill rigs are tasked with other priority targets on the Cardiac Creek deposit totalling an estimated 1,550 metres of planned drilling.

Assay results are pending for all drill holes. All drill core is logged for geology, structure, mineralization, RQD and photographed. Sections of sulphide mineralization are marked for sampling with a series of standards, duplicates and blanks inserted into the sample stream for quality assurance/quality control (QA/QC) purposes. Samples are split by a diamond saw, tagged and bagged and forwarded to Acme Analytical Laboratories Ltd. of Vancouver, B.C., for analysis. All remaining drill core is stored at the Akie exploration camp.

It is anticipated that exploration activities on the Akie property will continue until late September.

About the North Lead anomaly

The North Lead anomaly is a large (200 m by 1,000 m), open-ended, lead-in-soil (70 to 624 parts per million (ppm) lead) anomaly located approximately two km north of the nearest Cardiac Creek deposit drill hole. Previous drilling has encountered massive sulphides containing sphalerite and galena (0.8 metre grading 11.6 per cent zinc and 9.05 per cent lead), sulphide replacement (pyrite, sphalerite and galena) of an underlying footwall carbonate debris flow and quartz-carbonate alteration of footwall rocks, all suggestive of proximity to a vent zone.

About the Akie property

The Akie zinc-lead property is situated within the southernmost part (Kechika trough) of the regionally extensive Paleozoic Selwyn basin, one of the most prolific sedimentary basins in the world for the occurrence of Sedex zinc-lead-silver and stratiform barite deposits.

Drilling on the Akie property by Inmet Mining Corp. during the period 1994 to 1996 and by Canada Zinc Metals since 2005 has identified a significant body of baritic-zinc-lead Sedex mineralization (Cardiac Creek deposit). The deposit is hosted by variably siliceous, fine-grained clastic rocks of the Middle to Late Devonian Gunsteel formation. The company has outlined an NI 43-101-compliant inferred resource of 23.6 million tonnes grading 7.6 per cent zinc, 1.5 per cent lead and 13.0 grams per tonne (g/t) silver (at a 5-per-cent zinc cut-off grade).

Two similar deposits, Cirque and Cirque South Cirque, located about 20 kilometres northwest of Akie and owned under a joint venture by Teck Resources and Korea Zinc, are also hosted by Gunsteel rocks and have a combined geologic inventory in excess of 50 million tonnes (not NI 43-101 compliant) grading approximately 10 per cent combined zinc plus lead.

In addition to the Akie property, Canada Zinc Metals Corp. controls a large contiguous group of claims which comprise the Kechika Regional project. These claims are underlain by geology identical to that on the Akie property (Cardiac Creek deposit) and Cirque. This project includes the 100-per-cent-owned Mt. Alcock property, which has yielded a historic drill intercept of 8.8 metres grading 9.3 per cent zinc plus lead, numerous zinc-lead-barite occurrences and several regional base metal anomalies.

Qualified person

Peter Dadson, BSc, PGeol, is the qualified person for the company, as defined by NI 43-101, and is responsible for the technical information contained in this release.

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Dedicated to all those brave men who have been fighting the bear market in 2000 and buying the dips without understanding that they were looking straight into the abyss. Do not trust your money in anybody, for you are the one who is going to be rich or poor, not those that are advising you: always do your DD. Disclosure: We are putting our money where our mouth is.